Facebook Buys Microsoft Patents for $550 Million

April 25th, 2012 at 5:37 pm
 


It is time for another round of IP bulking, with Facebook paying Microsoft a whopping $550 million to acquire hundreds of patents the PC maker bought from AOL. The move is Facebook’s way of fattening up its intellectual property stash in the wake of a lawsuit against Yahoo.

Just a few days before the social networking giant is expected to yield the largest initial public offering among tech companies, Facebook would receive 650 patents and patent applications, as well as licenses to another 275 patents and applications owned by Microsoft.

Because of the complexities involving valuing patents, it remains unclear whether Microsoft profited from the acquisition. What we do know, however, is that Microsoft bought those patents from AOL for $1 billion.

Yahoo sued Facebook early this year, accusing the latter of infringing 10 of Yahoo’s patents including those that cover online advertising technology. Facebook slapped the search engine company with a countersuit, alleging that Yahoo has infringed 10 of Facebook’s own patents.

Source: Reuters

 

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